STTCOMP MTC FA Long
MC 25 291 144 @ .29
SOI 87 210 840 undiluted
Options 16 400 000 - strike 25c
Cash 3.287 M (737k/750k, 1.8M) + payments of two Chinese investors of $4.8M (3 + 1.8) = 8 087 000
EV 17.2M (inclusive of cornerstone investments yet to be received)
T20 70% (board & management 30% )
Following on from yesterday's TA tip, here is some of the saucer under the tea cup. MetalsTech is a Lithium and Cobalt explorer in Quebec and Ontario that has excellent resources, and the Co is being 'span-out' in April to a subsidiary, iCobalt Limited, via a $4.5m Initial Public Offer, with a Priority Offer to eligible MTC shareholders. Some holders are disgruntled for not being entitled to free shares, however, MTC will gain 15M shares + 10M performance.
iCoablt will have two significant Co resources: Bay Lake has assayed up to 15.36% Co in cobalt-rich veins; 3.45g/t Au and 44.5g/t Ag; and more; Rusty Lake - option to acquire 100% interest in 52 mining claims for 816 hectares including the historical silver and cobalt mine operated between 1910-1913, 1936-1938 and 1964-1966, with 6.08% Co, 3540g/t Ag, 8.64% Ni, as just one sample of many.
However, this post is more to do with the Lithium propects, which are some of the best in Canada, and all for a 25MC. There are 6 significant and seperate Li grounds, two of which are already well under development. But before going much further before boredom sets in, we should mention the two Chinese major investors - BCC and Dynavolt - who are presently each taking a 12.5% holding with a further 5% allowable on-market increase, as well as each a Board seat if they incrrease holding to 15%. So we can expect some on-market buying to achive this once their initial placing is finalized.
Also, they have a right to participate in placements for 12 months to maintain ownership position and a right to match any project-level investment by a third party within 12 months up to 10% project-level interest. Even though not a large investment for these two mulitbillion companies, they have ensured their position in these great resources if (when) other players join the team. BCC is a large chemical supplier and Dynavolt are a battery maker. No need to say more on this.
Other then these two recent investments, two recent raises have acquired $756k and $1.8M.
- continue resource definition and feasibility studies at its Cancet Lithium Project;
- commence maiden drilling at the nearby Adina Lithium Project where surface samples have reported >3% Li2O at surface; and
- explore plans for a lithium carbonate and hydroxide beneficiation plant within Quebec to process spodumene concentrate
I like the sound of the Li plant in Canada, especially with other players like GXY in the neighbourhood. Whether or not the Chinese could do it cheaper at home, I'm unsure, but I think doing it locally would save heavy transport costs, as well as BCC being a big supplier of chemicals to the US. Dynavolt obviously need the battery grade concentrate back in China, so shipping it from Canada would probably make-up for any costs saved in making it at home if they had to transport the mined bulk.
As mentioned, MTC have 6 Li zones, two of which are presently under going works: Cancet and Adina.
Aassays from Cancet 19/12/2017:
Cancet continues to demonstrate near surface high grade mineralisation
• 5.00m @ 1.83% Li2O from 8.00m depth, including: o 1m @ 6.18% Li2O (12.00m to 13.00m); and 2m @ 1.46% Li2O (8.00m to 10.00m)
• 14.96m @ 1.43% Li2O from 1.54m depth, including: o 7.96m @ 2.55% Li2O (1.54 to 8.50m)
• 4.35m @ 1.79% Li2O from 18.29m depth, including: o 2.18m @ 2.29% Li2O (19.4 m to 21.58m)
• 3.59m @ 1.23% Li2O (11.34m to 14.93m)
The pegmatite body at Cancet remains to be delineated with a total defined strike length of approximately 1.2 km. In addition to the high lithium grades intersected near surface, significant tantalum mineralisation continues to be intersected: 689 ppm Ta2O5 over 9.66 m including a peak sample assay of 2,223 ppm Ta2O5. The zonation of the lithium and tantalum within the mineralised body at Cancet is being investigated further, with geological modelling ongoing to further define the relationship.
Adina
Assay results from a 2016 field program included 1.58% Li2O, 2.43% Li2O, 1.19% Li2O, 1.67% Li2O, 2.08% Li2O, 3.12% Li2O and 1.79% Li2O.
A 15 to 25 -hole drill program is proposed for a total of approximately 2,000 m in Febuary 2018 over a 2km strike distance.
I' will leave the four remaining Li deposits for you to investiagte from the website. They also have some excellent grades and nearolgy, inclusing:
Namaska Lithium (TSE:NMX - MC - 778C) -
"2nd richest and largest deposit in the world"
Galaxy Resources (ASX:GXY) MC 1.75B "
most over-rated stock ever to come on the ASX" 
With the first resource being proved up, the second weeks aways, the cornerstone investments finally 'secured,' a low MC, very low tightly held SOI, a significant T20 and management holding, and a bull market, we have all the essential ingredients for a great run.
Other than that, Syz is on a tipping role with 4 from 5 wins in a month, and number 5 is still early days.
http://www.metalstech.net/
